ENGINEERING solutions provider Metronic Global Bhd today declared that it has jumped onto the much heralded COVID-19 vaccine bandwagon.
Should an exclusive distribution partnership between the company and Medigen Vaccine Biologics Corporation (MVC), an international pharmaceutical company listed on the Taiwan Stock Exchange, bear fruit, Metronic expects to rake in an estimated gross profit of RM120 mil to RM180 mil from the deal.
This follows the inking of a memorandum of agreement (MOA) between Metronic’s subsidiary, Metronic Medicare Sdn Bhd, and MVC today.
MVC markets flu vaccine, enterovirus vaccine and other related products that it develops worldwide.
On Nov 13, MVC announced that it has won a 470 mil yuan (US$71.52 mil) clinical subsidy contract from the Taiwanese Central Disease Control (CDC).
It is the first company to receive the Taiwanese Government’s subsidies among the four domestic companies approved by the CDC to conduct human clinical trials.
Meanwhile, Metronic Medicare which focuses on research & development is an importer and distributor of medical-related products in Malaysia and Southeast Asia.
Metronic CEO and executive director Hoo Wai Keong said the MOA establishes the basis for negotiation between Metronic and MVC with the view of entering into a distribution agreement for Metronic Medicare to distribute MVC’s vaccine in Malaysia and potentially other countries.
“In the forthcoming distribution agreement, MVC will supply Metronic Medicare with vaccine in pre-filled syringes or multi-dose vials formulated for immediate vaccination into humans (finished product) for distribution,” Hoo pointed out in a media release.
MVC’s CEO Charles Chen Chien Jen expects MVC to supply an estimated three million doses of finished products during calendar year 2021, contingent upon Metronic Medicare notifying MVC on or before December 31 this year of its commitment to purchase such number of doses.
As assurance, Metronic Medicare shall deposit US$1.5 mil with MVC and apply the refundable deposit to the purchase price of orders for the finished product, added Hoo.
Metronic closed unchanged today at 10.5 sen with 174.62 million shares traded, thus valuing the company at RRM131 mil. – Nov 20, 2020
